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THEME 2: Alternative Models of Economic Diversification

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Presentation on theme: "THEME 2: Alternative Models of Economic Diversification"— Presentation transcript:

1 THEME 2: Alternative Models of Economic Diversification
Special Economic Zones models for growth: Science Technology Parks and Research Parks Budzanani Tacheba (PhD) “Innovation distinguishes between a leader and a follower” Steve Jobs (RIP), Founder and CEO, APPLE Inc.


3 National Policy Guidance

4 National Policy Guidance
The Revised National RSTI (2012)Policy Vision Botswana will become a globally competitive nation with technology development, innovation and knowledge driven socio-economic growth. Vision-2016: P-2 | Botswana will be a productive and innovative nation

5 Competitiveness Indicators
You cant Manage what you don’t Measure!

6 Global Competitiveness Indicators
Global Competitiveness Index –a competitiveness index initially based on Michael Porters Business Competitiveness Index. The index measures among others innovation inputs (government and fiscal policies, education and innovation environments) and outputs (patents, technology transfer, R&D, business process innovation etc…). Global Innovation Index –is published annually since 2013 by a partnership of three organisations, Cornell University, INSEAD graduate business school and World Intellectual Property Rights. The indicator ranks economies policies supporting an innovative environment and the actual innovation outputs International Innovation Index – focussing on counties’ level of innovation two US based entities Boston Consulting Group and National Association of Manufacturers The name INSEAD was originally an acronym for the French "Institut Européen d'Administration des Affaires" or European Institute of Business Administration. Cornell University (/kɔrˈnɛl/ kor-nel) is an American private Ivy League and federal land-grant research university located in Ithaca,New York. Global Competitiveness Report The report "assesses the ability of countries to provide high levels of prosperity to their citizens. This in turn depends on how productively a country uses available resources. Therefore, the Global Competitiveness Index measures the set of institutions, policies, and factors that set the sustainable current and medium-term levels of economic prosperity."[2][3] There are twelve pillars of competitiveness. These are: 1. institutions 2. appropriate infrastructure 3. a stable macroeconomic framework 4. good health and primary education 5. higher education and training 6. efficient goods markets 7. efficient labor markets 8. developed financial markets 9. the ability to harness the benefits of existing technologies 10. and its market size, both domestic and international 11. by producing new and different goods using the most sophisticated production processes 12. innovation Chapter 1 of the publication presents the underlying conceptual framework of the publication and the ranking results, with special attention to the income group and regional classifications. The Global Innovation Index is the simple average of the Input and Output Sub-Indices. The Innovation Efficiency Ratio is the ratio of the Output Sub-Index over the Input Sub-Index. The Innovation Input Sub-Index is the simple average of the first five pillar scores. The Innovation Output Sub-Index is the simple average of the last two pillar scores. Pillars: Institutions, Human capital and research, Infrastructure, Market sophistication, Business sophistication, Knowledge and technology outputs, and Creative outputs. International Innovation Index The International Innovation Index is part of a large research study that looked at both the business outcomes of innovation and government's ability to encourage and support innovation through public policy. The study comprised a survey of more than 1,000 senior executives from NAM member companies across all industries; in-depth interviews with 30 of the executives; and a comparison of the "innovation friendliness" of 110 countries and all 50 U.S. states. The findings are published in the report, "The Innovation Imperative in Manufacturing: How the United States Can Restore Its Edge."[2] The report discusses not only country performance but also what companies are doing and should be doing to spur innovation. It looks at new policy indicators for innovation, including tax incentives and policies for immigration,education and intellectual property.

7 Botswana Source: World Economic Forum Report 2013 - 2014
Population (millions) GDP (US$ billions) …17.6 GDP per capita (US$) …………9.398 GDP (PPP) as share (%) of world total …0.04 GCI ……….4.1 GCI (out of 144) …………79………4.1 GCI (Out of 142)……… ………………...80……..4.0 Source: World Economic Forum Report


9 Botswana Source: World Economic Forum Report

10 Global Innovation Index

11 Global Innovation Index

12 Global Innovation Index

13 Cluster Development Concept
Clusters are geographic concentrations of interconnected companies, specialized suppliers, service providers, and associated institutions in a particular field that are present in a nation or region. Clusters arise because they increase the productivity with which companies can compete.  The development and upgrading of clusters is an important agenda for governments, companies, and other institutions. Cluster development initiatives are an important new direction in economic policy, building on earlier efforts Source: Michael E Porter, 2008

14 Clustering, Innovation and Competitiveness
Source Michael Porter; 2008

15 Cluster Development Concept

16 Source Michael Porter; 2008

17 Cluster Development Concept
Sector focus Technology Concepts Innovation “Chasm” Products & Services Basic Research Applied Research Process Development Piloting/ prototyping Up scaling Commercial Implementation Universities Companies Science & Tech Parks Regional Manufacturing Hubs & Industry

18 Applied research and development
Scaling Up Production Industry/Companies BIH (facilitate & catalyze Applied research, influence public policy Pilot Universities & Research Institutes Lab Basic Sciences Development Commercialization

19 STP–SEZ and the NSI Investments Venture Capital Banks
Services Venture Capital Equity Banks SEZ-STP (Sector/Cluster Companies) Technology Transfer Office Loans Industry (manufacturing) Start Ups Universities Research Institutes Innovation Fund Grant National Research Fund Basic research Applied research Product development Commercialization Production

20 STP = Infrastructure + programmes
BIOTECH ENERGY MINING ICT Technology Transfer Office

21 Together A More Innovative Future
Partner Members Full Members Networks Members 9 MIC, BCL, KRINOVA, COHRED, LUND Innovation Center Botswana 24 DiData Botswana, Concerotel, Bauer DeWet, 21 Academe, Southern Mapping, Bio Diesel

22 Botswana Innovation Hub
Thank you Botswana Innovation Hub Tel: Let´s make it happen !

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